Balanced Budget

We are on step 1 of 8! You are filling up your financial tank one mark at a time. By the time you have completed all 8 steps, you will have a financial foundation that will allow you to pursue whatever God has placed on your heart. 

But before you go pursuing your dreams, you need to get your money right. You need a solid financial foundation. 

Last week, you faced the music. You made a guess at what you thought you were making and spending per month and then I asked you to download RocketMoney. This app has made my budgeting life so much easier! It connects to my accounts so that I can see exactly what I am spending and making each month and it lets me know if I am on track with my budget. 

This week, we need to begin creating a balanced budget. If you’re not familiar with that term, here’s a simple definition: A balanced budget is when you are spending less than or equal to the money you are making. In other words, there is an equal balance between expenses and income. 

Most Americans live with an unbalanced budget. They spend more than they make. But that isn’t going to be you. Step 1 in creating a healthy financial foundation is spending as much or less than you make. 

You don’t want to go into more debt every month. This may sound far away from your current reality. You may be very used to living in an “unbalanced budget” reality. I have been there and it isn’t fun. But here’s what I’m asking you to do today: take one step. 

Take one step towards a healthy financial future. If you haven’t downloaded RocketMoney, do it today. If you have downloaded the app, then today, I want you to begin creating a budget inside of the app. It is Step 2 as you begin setting up your account and it is very easy to do! 

You will get to the end of the budgeting process and it will allow you to add category’s to your budget. This is where you begin really crafting where you should and shouldn’t be spending. Once you have selected your categories and placeholder budget line items, see what your projected savings for the month is. If it is in the negative, you don’t have a balanced budget.

I want you to find the two or three problem categories of your budget that just seem way out of whack and a lot more than you anticipated. Those will be the low hanging fruit that we begin to fix next week.

This is going to take some time. I know it can seem overwhelming and like a waste of time, but I promise you, crafting a balanced budget is step one towards financial freedom for you and for your family. This time will be well worth it, I promise. 

Next week, I’m going to begin helping you determine how to fix a couple of those problem parts in your budget. For this week, I just want you to download the app, craft a budget, and find those two to three problem categories that need to be addressed to balance your budget and get you on your way to having a full financial tank!

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Zach Santmier is the owner of Trumble Agency, Inc. and the author of the personal financial course, Increase. He focuses on helping families escape paycheck to paycheck living so they can freely pursue their ideal future.